Leon Binedell President and CEO SHERRITT INTERNATIONAL
Can you give a brief introduction to Sherritt International (Sherritt)?
Our current operations include the Moa mine and nickel upgrade facility in Cuba. In Alberta, we refine metals such as nickel and cobalt, guiding production in 2024 to 30,000-32,000 t of nickel and 3,100-3,400 t of cobalt. We also have a significant fertilizer business in Alberta, recycling waste streams from our metals processing combined with ammonia. In Cuba, we also operate two natural gas power plants, representing about 10% of the national grid.
What is Sherritt’s focus on technology and refining within the battery supply chain?
We have developed a process flow sheet that converts intermediates via midstream processing to produce high-purity nickel and cobalt sulfates, two fundamental feedstock materials for the EV supply chain. With this flow sheet, we have also focused on addressing a key environmental challenge, specifically reducing the production and disposal of sodium sulfate effluent, which has been a barrier in metals refining and precursor manufacturing.
What are Sherritt International’s priorities?
Sherritt’s outlook for 2025 is strong, driven by its expertise in nickel and cobalt refining, which is increasingly in demand outside of China. The company is focused on expanding its refining capabilities for the North American market, aiming to turn its technical strength into new commercial partnerships. Our metal production in Cuba is also set to begin ramping up in 2025 to grow annual mixed sulfides production by 20% supported by an extended mine life, thus adding immediate value to our company. At our Power division, increased natural gas production in partnership with Cuba will boost dividends to Sherritt. Further, we look to continue strengthening our liquidity position through the Cobalt swap which is an agreement we finalized in 2022 to recover C$368 million in outstanding receivables with our Cuban partners.
Doug Ramshaw President MINERA ALAMOS
What have been the main developments at Minera Alamos over the past year?
With the majority of issues behind us, we are again ramping up operations at Santana. Minera Alamos has also been applying for permits at our Cerro do Oro project, and we expect to obtain these permits in the first half of 2025, start construction in the second half of 2025, and be in production by 2026. These two developments are a step change in our production and cash-generative capabilities and should allow people to forget the negative sentiment that has seemingly beset Mexico over the last few years.
Can you outline the strategy behind your recent acquisition of Sabre Gold Mines?
Sabre Gold’s Copperstone mine has always been viewed by our team as a complementary, low-capital, operation that provides incremental production growth, resource enhancement and blends a second jurisdiction to our foundations in Mexico. It presents a strong likelihood of a dual track development with Cerro de Oro during the second half of 2025.
What are the biggest challenges to getting the Cerro do Oro mine into production?
Being located in northern Zacatecas, the Cerro do Oro mine is in a part of Mexico that has a great history of mining. Minera Alamos spent an extra year securing additional surface rights with a local community so that we can permit not just the base case of approximately 60,000 oz for eight years, but an upside case of closer to 80,000 oz for 13 years, and we have always had good engagement with the surrounding communities and authorities. There is a perception that over the last few years permit applications have landed in someone's inbox and are gathering dust, but in fact, authorities are working on these applications. We hope to start construction in 2025.